Changes to point to point transport rules

The rules for point to point transport, which includes taxis, hire cars and rideshare services, changed on 1 November 2017. Here is a guide to some of those changes:

Get an upfront fare estimate: All point to point transport booking service providers must provide you with an upfront fare estimate before your trip commences. This means you have the ability to compare and make sure you’re getting a good deal. (Please note, the fare estimate requirement applies to booked trips – such as with hire cars, rideshare and booked taxis – but not to ‘rank and hail’ taxi trips, where you either wave a taxi down on the street or catch one from a taxi rank).

Pre-paid fares: Pre-paid taxi fares apply to all of NSW. If your driver asks, you’ll need to pay an upfront fare before the trip begins, and either pay the balance or receive a refund at the end of the trip.

Passenger Service Levy: From 1 February 2018, all point to point transport service providers need to pay a temporary $1 Passenger Service Levy on all trips (including taxi, hire car and rideshare) taken in NSW, to help people like mums and dads and retirees who have put their lifetime savings into the industry and are now doing it tough. The levy is funding an industry adjustment assistance package of up to $250 million.

Service providers can absorb theis cost of the levy or pass it the levy on to you. If the levy is passed on, GST is payable and $1.10 will be added to your fare. The levy may affect the cost of your trip – you can check whether the levy is being passed on with your driver or service provider before your trip commences or when you make your booking.

The levy is only temporary – it will be in place for no more than five years, or until it raises the full amount required to fund the industry adjustment assistance package: whichever comes first.

Service providers

Under the new laws, there are two categories of service providers:

Taxi service providers

Booking service providers

Taxi service providers refer to taxi services caught at a taxi rank or hailed from the street. If you are catching a taxi from a taxi rank or hailing a taxi from the street, the maximum fare that you can be charged is regulated by the government and a fare calculation device, such as a meter, must be used.

To ensure customer safety in anonymous trips such as those hailed from the street or caught at a taxi rank, taxis are also required to be fitted with security cameras.

Remember: Only taxis have the necessary safety equipment to be hailed from the street or caught from a taxi rank.

Booking service providers

Booking service providers take bookings in advance through the phone, the internet or an app. This includes booked taxi services, traditional hire cars and rideshare services.

All booking service providers, including booked taxis, are able to set their own fares based on the service they provide. However they must provide you with an upfront fare estimate before your journey begins.